StemCells Inc (NASDAQ: STEM)
StemCells is having an incredible start to the trading session today, and by the looks of it, the gains are going to stick. Below, we’ll talk about what we’re seeing from the stock, why, and what we’ll be watching for with regard to STEM ahead.
What We’re Seeing From STEM
As mentioned above, StemCells is having an incredibly strong day in the market today. Since the opening bell, the stock has been climbing well into the green. At the moment, (11:08), STEM is trading at $1.41 per share after a gain of $0.34 per share (31.78%) thus far today.
Why We’re Seeing The Gains
As usual, as soon as the CNA Finance team noticed that STEM was flying so high, we went on a search for the cause of the gains. It didn’t take long to dig it up. The gains are being caused by an asset sale that was disclosed in an 8K filing.
In the filing, we learned that StemCells entered into an agreement with BOCO Silicon Valley. Under the agreement, BOCO will acquire certain stem and progenitor cell lines that have been researched, studied, and manufactured since 2007. The deal is totals $4 million. For more details, read the filing here.
What We’ll Be Watching For Ahead
Moving forward, we’ll be watching closely to see if this deal actually makes it through; but, at the moment, it looks like it’s solid. As a result, we’re expecting STEM to hold the gains we’re seeing. All in all, things are looking strong for the stock going forward.
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[Image Courtesy of Pixabay]